Interactive Strength Inc. (Nasdaq:TRNR) Secures 162 Unit CLMBR Commitment and Signs Exclusive Distribution Agreement With Planet Fitness SAS for France

Rhea-AI Summary

Interactive Strength (NASDAQ:TRNR) has secured an exclusive distribution agreement with Planet Fitness SAS for France and French Regions. The three-year agreement includes a minimum commitment of 162 CLMBR units, expected to generate over $0.5 million in revenue. The deal positions TRNR in France, which represents the second-largest fitness market in the European Union, through its CLMBR and FORME brands of specialty fitness equipment.

Positive

• Secured exclusive distribution rights in France, EU's second-largest fitness market
• Guaranteed minimum order of 162 CLMBR units
• Expected revenue generation of over $0.5 million
• Three-year contract duration providing steady revenue stream

Negative

• Revenue contribution relatively modest at $0.5 million over three years

Insights

Financial Analyst

The exclusive distribution deal with Planet Fitness SAS represents a strategic entry into the French fitness market, the EU's second-largest fitness market. The $0.5 million minimum revenue commitment from 162 CLMBR units over three years provides a modest but guaranteed revenue stream. While this helps establish TRNR's presence in Europe, the revenue impact is relatively small compared to TRNR's $2.67 million market cap. The deal's true value lies in the potential for market expansion and establishing a foothold in the European market rather than immediate financial impact. The exclusive distribution rights could lead to larger opportunities if the initial rollout proves successful, though investors should note that the revenue recognition timeline and potential additional costs aren't specified in the announcement.

Market Research Analyst

This partnership marks a significant step in TRNR's international expansion strategy, particularly in the lucrative European fitness market. France's fitness industry has shown robust growth, with increasing demand for innovative fitness equipment. The exclusive distribution rights through Planet Fitness SAS provide TRNR with an established local partner who understands the market dynamics and regulatory requirements. The initial commitment of 162 units suggests cautious optimism from the distributor, allowing for market testing while minimizing risk. This could serve as a springboard for broader European expansion if successful, though competition in the European fitness equipment market remains intense with established players.

• Three-Year Agreement Expected to Generate more than $0.5million in Revenue, and Covers France and French Regions

• France is the Second-Largest Fitness Market in the EU

AUSTIN, TX / ACCESSWIRE / December 18, 2024 / Interactive Strength Inc. (NASDAQ:TRNR) ("TRNR" or the "Company"), maker of innovative specialty fitness equipment under the CLMBR and FORME brands, today announced it secured exclusive distribution in Metropolitan France and French Regions with French training and equipment brand Planet Fitness SAS. The three-year agreement also includes a minimum commitment of 162 CLMBR units, which is expected to generate more than $0.5 million in revenue.

For more commentary see TRNR's shareholder update on the Company's investor website.

TRNR Investor Contact
ir@interactivestrength.com

TRNR Media Contact
forme@jacktaylorpr.com

About Interactive Strength Inc.:
Interactive Strength Inc. produces innovative specialty fitness equipment and digital fitness services under two main brands: 1) CLMBR and 2) FORME. Interactive Strength Inc. is listed on NASDAQ (symbol:TRNR).

CLMBR is a vertical climbing machine that offers an efficient and effective full-body strength and cardio workout. CLMBR's design is compact and easy to move - making it perfect for commercial or in-home use. With its low impact and ergonomic movement, CLMBR is safe for most ages and levels of ability and can be found at gyms and fitness studios, hotels, and physical therapy facilities, as well as available for consumers at home. www.clmbr.com.

FORME is a digital fitness platform that combines premium smart gyms with live virtual personal training and coaching to deliver an immersive experience and better outcomes for both consumers and trainers. FORME delivers an immersive and dynamic fitness experience through two connected hardware products: 1) The FORME Studio Lift (fitness mirror and cable-based digital resistance) and 2) The FORME Studio (fitness mirror). In addition to the company's connected fitness hardware products, FORME offers expert personal training and health coaching in different formats and price points through Video On-Demand, Custom Training, and Live 1:1 virtual personal training. www.formelife.com.

Forward-Looking Statements:
This press release includes certain statements that are "forward-looking statements" for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements do not relate strictly to historical or current facts and reflect management's assumptions, views, plans, objectives and projections about the future. Forward-looking statements generally are accompanied by words such as "believe", "project", "expect", "anticipate", "estimate", "intend", "strategy", "future", "opportunity", "plan", "may", "should", "will", "would", "will be", "will continue", "will likely result" or similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding the possibility of fulfilling the agreement and generated revenue from the commitment in the agreement. The reader is cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the expectations and projections of the Company. Risks and uncertainties include but are not limited to: demand for our products; competition, including technological advances made by and new products released by our competitors; our ability to accurately forecast consumer demand for our products and adequately maintain our inventory; and our reliance on a limited number of suppliers and distributors for our products. A further list and descriptions of these risks, uncertainties and other factors can be found in filings with the Securities and Exchange Commission. To the extent permitted under applicable law, the Company assumes no obligation to update any forward-looking statements.

Contact Information
John McNamara
IR
john@tradigitalir.com
917-658-2602

SOURCE: Interactive Strength Inc.

View the original press release on accesswire.com

FAQ

How much revenue will TRNR generate from the Planet Fitness SAS distribution agreement?

The agreement is expected to generate more than $0.5 million in revenue over the three-year period.

How many CLMBR units did TRNR secure in the Planet Fitness SAS deal?

The agreement includes a minimum commitment of 162 CLMBR units.

What territories are covered in TRNR's distribution agreement with Planet Fitness SAS?

The exclusive distribution agreement covers Metropolitan France and French Regions.

What is the duration of TRNR's distribution agreement with Planet Fitness SAS?

The distribution agreement has a three-year term.

What market position does France hold in the EU fitness industry for TRNR?

France represents the second-largest fitness market in the European Union.